GEO Semi to buy Maxim's video IC business

SAN FRANCISCO—Video IC vendor GEO Semiconductor Inc. said it signed a definitive agreement to acquire Maxim Integrated Products Inc.'s digital video IC business. Terms of the transaction were not disclosed.

GEO Semi (Santa Clara, Calif.) said it expects the transaction to close prior to the end of the year.

Through the transaction, GEO Semi said the company expands its patent portfolio to about 100 patents, including an H.264 video compression and audio processing portfolio. This transaction will also provide GEO Semi greater access to markets such as IP camera, smart TV, surveillance, tele-presence video communications, and smartphone peripherals, the company said.

Combining GEO Semi's proprietary technology with the IP from Maxim will enable single-chip solutions for all of these markets, increasing market share and lowering costs to customers, the company said.

"This transaction is transformational for GEO as we are seeing an explosion in camera-based applications in mobile, automotive and industrial applications," said Paul Russo, GEO Semi's chairman and CEO, in a statement. "Combining our eWarp technology with H.264 compression enables the creation of world-class single-chip solutions that reduce the bill of materials and drive massive adoption into these rapidly growing markets."

"This is a phenomenal combination of IP, products and talent," said Brian Gannon, general manager of Maxim's digital video processing business. Related stories: